Basic Energy Corp. said Friday the Department of Energy approved its wind energy service contract for the Balayan Nearshore Wind Power Project.
Basic said in a disclosure to the stock exchange the contract took effect on June 22.
The proposed project is located a kilometer east of the Calatagan peninsula in Batangas province.
Basic said it received the exclusive right to explore, develop and utilize the wind energy resources within the 2,835-hectare contracted area.
It said with the approval and signing of the WESC, it would start deploying its resources for the wind resource assessment campaign to validate the wind regime in the covered area.
The company said it expected to declare the project’s commerciality within the provided five-year period in the pre-development stage of the service contract.
The project is expected to generate and deliver power energy to the grid ranging from 140 to 168 megawatts based on the 4-WTG model simulation done by a foreign third-party consultant.
Basic Energy said with the addition of the Balayan WESC to the existing Mabini and Panay WESCs, its total wind portfolio would increase to about 350 to 400 MW.
The company said it was expecting to secure the service contracts for other renewable energy projects as it builds up a robust renewable energy project portfolio.